Osisko Mining Announces Private Placement of up to $10 Million

Osisko Mining (TSX:OSK) has announced that it has entered into an agreement letter with Dundee Securities under which Dundee has offered on a private placement basis flow-through common shares of Osisko at $3.15 per share for gross proceeds of up to $10 million.
As quoted in the press release:

The gross proceeds of the Offering will be used to fund “Canadian exploration expenses” (as defined in subsection 66.1(6) of the Income Tax Act (Canada)) related to Osisko’s projects in the Province of Québec, and the Corporation has agreed to renounce such “Canadian exploration expenses” effective no later than December 31, 2016. In addition, the Corporation has agreed and covenanted that all such “Canadian exploration expenses” will also qualify as “flow-through mining expenditures” (as defined in subsection 127(9) of the Income Tax Act (Canada)), where such expenditures will also qualify for the corresponding income tax credits and deductions under the laws of the Province of Québec.
The closing of the Offering is expected to occur on or about December 13, 2016 and is subject to the completion of formal transaction documentation and the receipt of regulatory approvals, including the approval of the Toronto Stock Exchange. The Flow-Through Shares issued under this Offering will be subject to a statutory hold period ending four months and one day from the closing date of the Offering.

Click here to read the full press release.